Effective July 14, 2009, this is the "alcohol in restaurants" law. Even though the statute says June 1, the law doesn't go into effect until 40 days after that, which is July 14.
UPDATED NOTE AS OF 11/20/09 Carrying in a restaurant that serves alcohol is now again illegal, due to a ruling by a judge in some case in East Tennessee. I will update again if anything changes. UPDATED NOTE AS OF 6/5/10: A new statute has passed which makes it legal again to carry in an establishments that serve alcohol. There are some changes from the old law, and the law doesn't go into effect until sometime around the end of the week (approximately 6/11). I don't have all the exact details, but here are the basics. I will update if more info becomes available. The law allows valid handgun carry permit holders to carry in establishments where alcohol is served UNLESS the restaurant/bar is posted by the owner as a no-gun zone. The international prohibited sign (gun with circle and slash) is now sufficient as a posting, if placed at all entrances. It is still illegal to carry a gun while drinking. The penalty for drinking and carrying is a year in jail and a $2500 fine, plus loss of gun permit for three years. DO NOT drink while armed. POSSESSION OF A FIREARM WHERE ALCOHOLIC BEVERAGES ARE SERVED 39-17-1305. Possession of firearm where alcoholic beverages are served.